Included in the changes that Facebook recently announced to its privacy and governance policies was an admission that it aggregates and shares data on user activity with advertisers — and Facebook says it plans do so not just inside the network but on external websites as well.
There’s been a lot of discussion over the past few days about the recent changes to Facebook’s privacy and governance policies — including the revelation that (gasp!) Facebook is not actually a democracy — but one element of the new rules has gotten less attention than it probably should: namely, the fact that the giant social network is going to use the data it has about your likes and dislikes to show you ads outside of Facebook. This is the first real confirmation that the company is going to roll out an advertising network that extends beyond just its own walled garden, and it could turn out to be one of the biggest factors in the success or failure of Facebook’s revenue-growth strategy.
Continue reading the rest of the story on Gigaom